Multi-currency debit cards make digital payments more accessible for consumers
May 14, 2021
Multi-currency debit cards are becoming an increasingly popular choice for customers to easily manage and spend digital assets online and in person.
Multi-currency debit cards are designed to make it easier for people to use several currencies and digital assets to make payments in-person and online. They also make it easier for businesses and individuals to manage their funds and spending. They are especially useful for people who travel a lot, and for businesses that make regular international purchases and want to manage staff expenses.
Multi-currency debit cards: how they work
A multi-currency debit card works in much the same way as a regular debit card. The cards can be either physical or virtual, and you can make payments in several currencies and digital assets.
Multi-currency debit cards contain fiat currencies (dollars, pounds, euros, etc.) and digital assets (Ethereum, Litecoin, and Bitcoin Cash, etc.). They work with the Visa and Mastercard payment systems, meaning a cardholder can use their physical or virtual card to pay for items at any POS that accepts the two major payment operators.
You can swipe (or scan) your card at an in-store POS (point of sale) to buy items, use it to withdraw cash at ATMs, or use its details to make online purchases. Individuals (and businesses) can preload a card with a fixed amount which is automatically converted to the local merchant’s currency at the time of purchase.
Multi-currency debit cards key benefits
A key benefit of using a multi-currency debit card is that there are no intermediaries between you and the merchant. This simplifies the transaction process and reduces costs. Currency exchanges are quick and automatic as well. They take place at POS at an internal rate set by your card vendor and they don’t include markups and commissions from third parties.
Cardholders can instantly switch between currencies at OTC (Over-the-Counter) and interbank rates for minimal fees or even zero fees. The cards usually offer customers high spending limits at low fees and free ATM withdrawals, with the card operators charging a flat-rate monthly rate for using their services.
Multi-currency debit cards are getting popular
Multi-currency debit cards are increasingly popular as well. Indeed, digital payments platform Wirex recently launched a multi-currency Mastercard debit card in the UK and EU, making digital assets more accessible for consumers to use for payments. Edoardo Volta, Head of Fintech for Mastercard U.K. and Ireland praised the new partnership for opening digital asset payments up to more people safely and securely. He said: "The [digital assets] market continues to mature, and Mastercard is driving it forward, creating safe and secure experiences for consumers and businesses in today's digital economy."
Offer a multi-currency debit card solution to your customers
Read more about multi-currency debit cards and the benefits they offer you and your customers. They’re quick and straightforward to set up and they can be added to your existing services or built from the ground up as a white-label app with your branding. What’s more, Baanx takes care of compliance so you can have peace of mind and focus on your clients’ needs.